Some faculty are 'pessimistic' about Gov. Schwarzenegger's latest budget proposal - Antoinette Luzano, Daily 49er

Another part of Schwarzenegger’s budget message — the plan to phase out Cal Grants — would save the state $173 million for the 2009-2010 academic year and $450 million the following academic year. The grants awarded to 118,000 incoming fall freshmen would be the first eliminated, but the proposal allows current Cal Grant recipients to renew their awards depending on each individual’s financial need and academic standing. Renewed awards for the approximately 83,000 CSU and University of California grant recipients will not accommodate the CSU’s 10 percent and the UC’s 9.3 percent fall fee increases.